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How to deal with the Series A crunch

Version One Ventures

Seed financing grew from 89 fundings in Q1 2009 to more than 500 in Q3 2012. That means there are a lot more seeded startups out there: an excess demand for a limited supply of Series A financings. Traditionally, I’ve advised startups to raise enough money to sustain them for 18 months.

Burn Rate 140
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Figuring Out FourSquare

Seeing Both Sides

Modest burn : the company only raised $1.35 million in its series A financing and kept the burn rate at less than $100k per month to make he money last. Dennis wrote a great post at the time of the financing that showed just how product obsessed he was, even after taking the seed money.

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